Yahoo Stock Analysis (NASDAQ:YHOO)
Yahoo Analysis Video
View Yahoo stock analysis video. This is our YHOO analyst opinion covering the buy and sell arguments for YHOO stock.
Yahoo! Inc. Stock Rating (1.9/5)
Our Yahoo stock opinion is based on fundamentals of the company. This Yahoo stock analysis is based on latest Q1 earnings for 2017. The stock price analysis takes into account a company's valuation metrics.
Should you buy YHOO stock?
- Yahoo has a lower debt burden than its peers in the Computer and Technology sector, with a debt/equity ratio of 0.04.
- The company has an operating cash flow which is 2.2 times the net income. We see this as a positive signal.
Should you sell YHOO stock?
- Over the last 5 years, the company registered a poor revenue growth of 1.6%.
- Yahoo registered a negative operating margin of -9.9% (average) over the Trailing Twelve Months (TTM).
- Over the last 12 months, Yahoo had an average Net loss of -0.3%.
- The YHOO stock currently trades at a PE of 192.8, which is expensive, compared to the industry average of 25.8.
- YHOO stock is trading at a PS multiple of 8.6, which is a negative when compared to the Internet Services industry average multiple of 2.7.
- The company has a negative Return on Invested Capital of -1.6%, which is a red flag.